SINGAPORE: Asia’s 10 ppm sulphur gasoil margins and premiums extended losses on Tuesday as oil futures surged at a quicker pace in the afternoon trading session. Liquidity stayed minimal in the open trading market.

Cash differentials for 10 ppm sulphur gasoil closed at $2.19 a barrel, down by 21 cents day-on-day.

Sellers remained plentiful for mid-December and second-half December loading parcels.

Refining margins for 10 ppm sulphur gasoil fell to $34.82 a barrel from $35.75 a barrel in the previous day. Likewise, jet fuel refining margins slipped by more than $1 a barrel to $32.72 a barrel.

Regrade widened slightly, closing at minus $2.10 a barrel.

US crude oil stockpiles were expected to have declined last week, while gasoline and distillates inventories were seen rising, a preliminary Reuters poll showed on Monday. Distillate inventories, which include diesel and heating oil, were expected to have increased by 1.4 million barrels last week.

Chevron Corp aims to start receiving cargoes of Venezuelan oil as early as December after the oil company last week received a US license to do so, but Caracas may not be as eager because US sanctions restrict payments, people familiar with the matter said.

Top oil exporter Saudi Arabia may cut crude prices for Asia in January following a bearish trading cycle in the Middle East spot market, on concerns over sluggish demand in China and an increase of Russian crude in Asia after Dec. 5.